Shares of Natco Pharma dropped 0.22% on NSE Nifty after the company said that USFDA conducted an inspection at its pharmaceutical factory in Kothur, near Hyderabad between January 16-24, 2017.

The company that United States Food & Drug Administration made six observations. "All of which are correctable and procedural, and which the company believes are minor in nature," it said in a statement.

Natco Pharma said, "The observations are related to complaint and incident investigations, stability backlog and procedural SOPs," adding, "The company will provide due justifications and corrective action plan within the next 15 days to address the USFDA observations."